HGTY

Hagerty

Fundamental data last updated:April 13, 2026

We may earn a commission from partner links. This content is for informational purposes only and is not financial advice. Information may be delayed or inaccurate.

company profile

SECTOR

Financial Services

industry

Insurance - Property & Casualty

Exchange

NYSE

County of HQ

United States

Next Earnings Date

05/06/26

Business Summary

Hagerty operates a niche Property & Casualty insurance platform focused on specialized underwriting, where disciplined risk selection and pricing power drive profitability. The company generates cash by collecting premiums upfront, investing float, and managing claims efficiently to preserve underwriting margins. Its moat likely stems from brand positioning and specialized actuarial data that allow it to price risk more precisely than generalized insurers. Sustained ROE of 18.70% and operating margins of 17.50% suggest that, at least for now, the model converts underwriting expertise into durable cash generation.

 


Analyze HGTY on TradingView

VALUATION

P/E

30

Market Cap ($M USD)

$1,123

Forward P/E

18.8

PEG

-

PRICE TO SALES

2.7

PRICE TO BOOK

5.1

EV / EBITDA

6.1

5-Year Average P/E

Free Cash Flow Yield

DCF Value

Graham Number

Price to FCF

EV to FCF

Earnings Yield

FCF Yield

DIVIDEND

Yield

-

Annual Payout

-

Payout Ratio

-

Consecutive Years of Dividend Growth

0

5-Year Dividend Growth Rate

-

Financial Health & Profitability

Earnings Per Share

$0.41

Next Year EPS Growth Estimate

$0.59

Next Year Revenue Growth Estimate

18.70%

Return on Equity (ROE)

17.50%

FREE CASH FLOW

Operating Margin

-

Debt-to-Equity

0.8

Piotroski F-Score

6

Altman Z-Score

-

Return on Invested Capital (ROIC)

11.90%

Current Ratio

-

Quick Ratio

Net Debt to EBITDA

Interest Coverage

Gross Profit margin

FCF PER SHARE

REVENUE PER SHARE

Analyze HGTY on TradingView

Gainseekers Quantitative Analysis

Summary

At 30x earnings with a Forward P/E of 18.8, the market is clearly underwriting a material step-up in profitability, yet the visibility behind that rerating is questionable given the lack of clarity on leverage and the absence of a PEG ratio. A 17.50% operating margin and 18.70% ROE signal a business that is operationally competent, but not so exceptional that it deserves an aggressive premium without clean balance sheet transparency. The multiple compression from 30 to 18.8 suggests growth optimism, yet EPS Next Year is just $0.41, which does not scream hyper-growth relative to the current valuation. This is not obviously distressed, but it is not obviously mispriced either—this is a quality insurance operator trading at a growth-adjusted price that demands execution.

AI Exposure / Tech Reliance

As a Property & Casualty insurer, Hagerty operates in a data-driven underwriting environment where AI-enhanced risk modeling and claims automation can materially improve combined ratios and operating margins. With a 17.50% operating margin already in place, incremental efficiency gains from automation could directly expand profitability. The sector is structurally positioned to benefit from predictive analytics, but competitive advantage will hinge on proprietary data and disciplined underwriting rather than hype-driven tech adoption.

The Bull Case

A GARP investor can build a credible case here: 18.70% ROE and 11.90% ROIC indicate that management is generating returns above a typical cost of capital, and a Piotroski F-Score of 6 reflects reasonable financial stability and operational health. The compression from a 30 P/E to a Forward P/E of 18.8 implies earnings acceleration, which, if realized, would make today’s multiple look far more reasonable. Operating margins of 17.50% in insurance are not trivial, signaling underwriting discipline and cost control. With a $1,123M market cap, this is still small enough to compound meaningfully if execution continues, and the 0.8 TTM yield provides at least some shareholder return while investors wait.

The Bear Case

The red flags are impossible to ignore. Debt / Equity is not provided, which means leverage risk cannot be properly assessed—an uncomfortable blind spot in a financial services company. There is no PEG ratio to justify the growth multiple, and EPS Next Year of $0.41 sits awkwardly against a current P/E of 30, raising questions about earnings consistency. Institutional Ownership at $13.57 suggests limited big-money sponsorship, and a Mean Consensus Target Price of 2.67 relative to the current valuation metrics implies muted upside expectations. Add in the absence of a disclosed Short % of Float and no visible payout policy, and the risk profile looks less transparent than a prudent value investor would prefer.

Market Sentiment & Smart Money

Short Interest %

0.90%

Analyst Consensus

2.67

Average Analyst Price Target

$13.57

Institutional Ownership %

89.90%

1-Year Beta

0.54

Insider Buying % (6 Mo)

6.20%%

Distance to 52-Week High

79.40%

Distance to 52-Week Low

132.90%

EARNINGS SURPRISE %

50-DAY SMA

200-DAY SMA

⚠️ Financial Disclaimer:
This content is for informational purposes only and is not financial advice. Information may be delayed or inaccurate. We may earn a commission from partner links.